Insurance is very important part in risk management especially when you are very young and just started cumulating wealth. As you get older, and hopefully started to accumulate some serious wealth (or good debt like property, etc), you will like most logical thinking people start to get real serious about ensuring that you get enough protection. Basically, in my opinion the following scenario is true.

1. The day that you will stop breathing is almost 100% guaranteed. (unless future tech advances allows you to clone yourself, or a immortality pill is invented). The problem lies when you don't die but lie stricken on the hospital bed or disabled through a serious accident. Here is where you need some insurance money to cover your remaining life.

2. Above point is true, especially if you are a very young person. (sayang lar, you going to die soon, you regret not doing this and that , or dying as a virgin..lol) You don't want to die yet but you need to fork out huge sum of money which you might not yet have managed to accumulated. Or , the little amount of money you saved so far will be completely depleted due to your situation.

3. Think of your loved ones. If you have a family or a loving wife, you might want to ensure adequate protection so that they have something to live on if you decided to depart this world, earlier than what you expect.

4. YOU DON'T need to buy an insurance if you don't love yourself, don't love your family or hate your whining wife so much that you decided to end your life in the near future.

The objective of my poll is as follows:

To know how much in total my readers spent on all types of insurance policies per year.

Why I would like to know more?? Just click the read more arrow.

The reason why I brought up this post is that I decided to know as much as possible about insurance schemes to protect my wealth as I grew older, and hopefully wiser :D

As most information about insurance, risk management articles are written by insurance agents, I believed we should gain a new "perceptionally unskewed" perspective on how we should adequately protect ourselves through the years so that we are not bias to a certain train of thought.We should always think out of the box and look at both sides of the coin. That i believe is the key to sound judgement. And that is what i want to strive for to grow myself.

There will always be a perceived conflict of interest between insurance agents and prospective customers. No offense here to anyone.

It is like paying rating agencies to rate your companies debt rating, knowingly that you can arm-wrestle them to give you a better rating since you are PAYING their salaries. Which is actually happening in the US that eventually is one of the trigger mechanism to the current financial crisis.

If you get a bad agent ,it is quite natural that he/she tries to push the most expensive policy to you because insurance agents are paid through commission on the premium they sold.

LISTEN & LEARN to the 2nd opinions aka outsider of the industry on insurance usage models is more enriching to avoid biasing your judgement. I bet there are more experienced/smart people out there that does not belong in the industry that is efficiently using insurance as a risk management mechanism.

Maybe it is my curious nature or because i am a trained engineer, I want to dig everything out. I know for a fact engineers tend to ask a lot of questions on everything!!! We need cold hard FACTS and NUMBERs..lol. Not sure whether my fellow engineer readers agree to this or not.